...of QAAA (25% partners each). Tom managed the QAAA, and prepared and filed the tax returns. Karen sued Tom, because she thinks that Tome mismanaged QAAA and sold the land and building in a low price, and she wants to ask for an increased portion of the proceeds from sale of the property based on its “true value”. The land and building was sold for $7.0 million in an all-cash sale. After closing of the sale, Karen received a 2012 Schedule K-1 from QAAA listing her reportable taxable gain as $500,000. Karen wants to not report the gain on her 2012 tax return, since she the taxable income from the sale is disputed and she hasn’t received and proceeds yet from the sale. Issues: Is the money taxable which you haven' Findings: “Each partner is required to take into account separately in his return his distributive share, whether or not distributed, of each class or item of partnership income, gain, loss, deduction, or credit described in subparagraphs (1) through (9) of this paragraph.” Reasoning & Authority: The existence of a partnership for Federal income tax purposes is a question of Federal law and does not depend on whether an enterprise is recognized as a partnership under local law. Commissioner v. Culbertson, 337 U.S. 733, 741 [37 AFTR 1391] (1949); Commissioner v. Tower, 327 U.S. 280, 287-288 [34 AFTR 799] (1946); see also Bergford v. Commissioner, 12 F.3d 166, 169 [73 AFTR 2d 94-498] (9th Cir. 1993), affg. Alhouse v. Commissioner, T.C. Memo. 1991-652 [1991...
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...Origin of contract Contract act 1872 Extends to all Pakistan DEFINITION (1)Between two or more than two parties\persons (2)To do or not to do any particular thing (3)Enforceable by law (4)Creates obligation between the parties \persons COMMUNICATION\REVOCATION\ACCEPTANCE COMMUNICATION (1)Offer or proposal (notice to other party) (2)Acceptance REVOCATION (1)Cancellation (2)Mode of Revocation of proposal (a)By written notice or by conduct (b)By failure to fulfill any condition relating to contract (c)Death of either party (d)Lapse of time (e)Operation of law (f)Refusal by offeree ESSENTIALS OF A VALID CONTRACT (1)Agreement (2)Legal Relationship (3)Competent to contract (4)Free consent (5)Consideration (6)Not expressly declared void (7)Legal objects PERFORMANCE OF THE CONTRACT (1)Contracts which must be performed (2)By whom contracts must be performed (3)Time and place for performance (4)Performance for Reciprocal promises (5)Contracts which need not to be performed DISCHARGE\BREACH OF CONTRACT (1)Whoever...
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...Memorandum To: Professor Sandra Moses From: Business Communication Team 1 Date: September 22, 2014 Subject: Asian Business Culture Please review this memo to prepare yourself for interaction with business partners in China, Thailand and Japan. Introduction Engaging in any business transaction such as meetings, striking a deal or even just exchanging contact information is to be done with a great deal of tolerance for the Asian culture. It is important to remember to be aware and follow some simple guidelines that will be outlined first. It is significant that these rules be followed use simple English, speaking slowly and enunciate, check frequently for their comprehension, observe eye messages, and accept blame if there is a misunderstanding. Practice etiquette by listening without interruption, smile when appropriate, and follow up every meeting in writing to ensure understanding and show appreciation. Asian Culture Chinese business partners will present themselves much like Japanese and Thailand partners. They will have a quiet demeanor that lacks little emotion. Expect the asian business partners to move slowly compared to our pace. Chinese and Japanese business meetings are conducted with patience and will often have long pauses. In Japan business is male dominated and should be conducted very diplomatically. All three countries have a strong sense of hierarchy. It is important to address individuals with their full name and title in both China and Japan,...
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...s e c TIo n client acceptance C a s es inC lu de d in t his se Ction 1 3 1.1 Ocean Manufacturing, Inc. . . . . . . . . . . . . . . . . . . . . . . The New Client Acceptance Decision InsTrucTor resource Manual — Do noT copy or reDIsTrIbuTe InsTrucTor resource Manual — Do noT copy or reDIsTrIbuTe ocean Manufacturing, Inc. The new client acceptance Decision ins tr uC t ional o b je C t ive s [1] To c a s e 1.1 Mark S. Beasley · Frank A. Buckless · Steven M. Glover · Douglas F. Prawitt help students understand the process of considering a new prospective audit client and the factors that auditors commonly consider in making the acceptance decision. [2] To give students experience in computing and interpreting preliminary analytical procedures commonly used in obtaining an understanding of a prospective client during the client acceptance decision process. [3] To raise issues relating to auditor independence in the context of client acceptance, both in terms of financial interests and the provision of non-audit services. To illustrate the subjective and sometimes difficult nature of the judgments involved in the client acceptance decision, and to give students the opportunity to justify a recommendation on client acceptance in the presence of both significant positive and negative factors. [5] To help students understand how information gathered in the client acceptance process can help the auditor in planning the audit if the client...
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...ISSUES IN ACCOUNTING EDUCATION Vol. 23, No. 2 May 2008 pp. 299–307 Assessing Audit and Business Risks at Toy Central Corporation Christine E. Earley and Fred Phillips INTRODUCTION [pic]s a senior in a professional services firm, you have been assigned to plan the financial statement audit of a private company named Toy Central Corporation (TCC). In addition, the partner on the engagement has asked you to identify business risks that could adversely affect TCC’s sustained profitability, so that they can be brought to the attention of the company’s board of directors. These tasks will require you to draw on your knowledge of supply chain management, marketing, internal controls, audit assertions, and financial accounting. COMPANY BACKGROUND Toy Central Corporation (TCC) designs, manufactures, and markets a variety of toys, which are sold primarily to large national retailers like Wal-Mart, Toys R Us, Kmart, and Target. TCC is a small company compared to competitors Mattel and Hasbro; nevertheless, TCC’s managers believe its toys are among the best in the world. Unlike the larger toy makers, which bring thousands of toys to market each year but experience success with only a fraction of them, TCC has enjoyed success with a small portfolio of brands and products, representing three categories: (1) soft toys, consisting primarily of its Cuddle Monsters stuffed animals; (2) hard toys, including metal-cast and plastic-cast toys like Fast Racers cars and Acto action...
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...communication for managers and the activities they perform. The management topics of communication strategy, communication technology, effective business writing (including memos, letters, and analytical reports), nonverbal communication, and formal oral presentations will be emphasized. The course will focus primarily on written communication. Several practical writing assignments will be given and each student will be required to give an oral presentation using PowerPoint presentation software. COURSE TEXTBOOK Geraldine Hynes, MANAGERIAL COMMUNICATION STRATEGIES AND APPLICATIONS, 5th edition, McGraw-Hill Irwin Publishers, 2011. To cite your secondary sources accurately for the report, you must either purchase an APA Reference Style book or download my handout (on Blackboard) describing and illustrating the APA Reference Style. 882-E Scantron sheets are needed for exams. COURSE OBJECTIVES 1. To understand that effective management is dependent on excellent communication skills. 2. To learn the communication skills and activities that are required for managers at all levels of management. 3. To learn the correct strategy in writing business memos and letters. 4. To learn how to conduct effective secondary research. 5. To learn how to organize and write an analytical business report following effective report writing principles. 6. To improve your oral presentation skills by...
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...To: Dr. Ott From: Jordan King Re: Case 3 Business Expense Deductions Executive Summary: A taxpayer, who became a 25% owner with Oil Company, paid back certain creditors of Oil Company when the Oil Company went bankrupt. The taxpayer is also a partner of an architectural firm whose primary customers were also creditors of Oil Company. The taxpayer deducted the debt repayment as a business expense of the firm. The IRS argues that the repayment is not an “ordinary and necessary” expense of the architectural firm and therefore cannot be deducted. It is determined that this case will be ruled in favor of the taxpayer. Facts: * Richard is a partner at a well-established architectural firm. * Richard invests enough to become a 25% owner of Oil Company. Oil Company goes bankrupt due to a drop in foreign oil prices. They cannot pay back their creditors. * Many of the creditors to Oil Company are also customers to Richard’s architectural firm. * The architectural firm starts to lose profits. Richard firmly believes this is due to his involvement with Oil Company. * Richard and his partner agree to use earnings of the architectural firm to pay back the creditors of Oil Company. They both believe this will improve their business profits. * The IRS is disallowing these deductions claiming they are neither ordinary nor necessary. Issues: According to Sec 162(a), There shall be allowed as a deduction all the ordinary and necessary expenses paid or incurred during...
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...Ethics Case: Arthur Andersen’s Troubles Once the largest professional services firm in the world, and arguably the most respected, Arthur Andersen LLP (AA) has disappeared. The Big 5 accounting firms are now the Big 4. Why did this happen? How did it happen? What are the lessons to be learned? Arthur Andersen, a twenty-eight-year-old Northwestern University accounting professor, co-founded the firm in 1913. Tales of his integrity are legendary, and the culture of the firm was very much in his image. For example, “Just months after [Andersen] set up shop in Chicago, the president of a local railroad insisted that he approve a transaction that would have inflated earnings. Andersen told the executive there was “not enough money in the City of Chicago” to make him do it.”1 In 1954, consulting services began with the installation of the first mainframe computer at General Electric to automate its payroll systems. By 1978, AA became the largest professional services firm in the world with revenues of $546 million, and by 1984 consulting brought in more profit than auditing. In 1989, the consulting operation, wanting more control and a larger share of profit, became a separate part of a Swiss partnership from the audit operation. In 2000, following an arbitrator’s ruling that a break fee of $1 billion be paid, Andersen Consulting split completely and changed its name to Accenture. AA, the audit practice, continued to offer a limited set of related services, such as tax advice.2 Changing...
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...ISSUES IN ACCOUNTING EDUCATION Vol. 23, No. 2 May 2008 pp. 299–307 Assessing Audit and Business Risks at Toy Central Corporation Christine E. Earley and Fred Phillips INTRODUCTION [pic]s a senior in a professional services firm, you have been assigned to plan the financial statement audit of a private company named Toy Central Corporation (TCC). In addition, the partner on the engagement has asked you to identify business risks that could adversely affect TCC’s sustained profitability, so that they can be brought to the attention of the company’s board of directors. These tasks will require you to draw on your knowledge of supply chain management, marketing, internal controls, audit assertions, and financial accounting. COMPANY BACKGROUND Toy Central Corporation (TCC) designs, manufactures, and markets a variety of toys, which are sold primarily to large national retailers like Wal-Mart, Toys R Us, Kmart, and Target. TCC is a small company compared to competitors Mattel and Hasbro; nevertheless, TCC’s managers believe its toys are among the best in the world. Unlike the larger toy makers, which bring thousands of toys to market each year but experience success with only a fraction of them, TCC has enjoyed success with a small portfolio of brands and products, representing three categories: (1) soft toys, consisting primarily of its Cuddle Monsters stuffed animals; (2) hard toys, including metal-cast and plastic-cast toys like Fast Racers cars and Acto action...
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...Harley-Davidson, Inc: Identifying eBusiness Risks and Related Assurance Services for the eBusiness Marketplace (Case Study) 1. What new risks did Harley-Davidson face by integrating eBusiness into its supply-chain management system and by allowing suppliers to have access to the company’s Intranet? E-commerce is a fantastic way for businesses to connect with customers around the world in a way that has never before been possible. Yet, that is not to say that eBusiness does not have risks that entrepreneurs must be aware of before setting up a presence online. Harley-Davidson faces a variety of risks by integrating eBusiness into its supply-chain management system and allowing supplier to have access to the company’s Intranet. 1) Although the eBusiness system implemented by Harley-Davidson is full-proof, considerable risks associated with hackers, viruses, and interception of credit card numbers travelling over the communication lines still exist in the system. Credit card information can be easily intercepted via internet for deceitful purposes increasing the risk of fraudulent transactions. 2) Technology itself poses a risk to eBusiness, simply because ecommerce is so dependent on it. Infrastructure problems, such as a server malfunctioning, can shut down a website. Likewise, viruses can delete valuable data, and software glitches can keep a site from working properly. 3) Suppliers may violate confidentiality agreements and disclose confidential...
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...SAMPLE BUSINESS MEMORANDUM (The business memo format is best suited for presenting analysis and results of an issue that requires no more than 2-3 pages of text and a couple of tables and exhibits. Anything longer should use a business report format with a very short transmittal memo). DATE: TO: FROM: March 13, 2004 Martha Glamour, CEO Stylish Living Magazine Simpson and Lee Consulting Associates (This tells the reader your role as writer – e.g. consultant, analyst to reporting to manager, etc.) Thomas Simpson (Principal Writer) Richard Lee (Principal Editor). (The words principal writer and editor do not appear in a real business memo; they are here for grading purposes only. In the real world you would substitute the titles of the authors, e.g. Partner or Senior Manager). RE: Analysis of existing cost system and desirability of switching to ABC. Thank you for allowing us the opportunity to work with your company (simple courtesy and positive start). As requested, we have evaluated the strengths and weaknesses of your company’s existing cost system and evaluated the desirability of switching from the existing cost system to an activity based cost system ABC). (This sentence should clearly state the “big” issue in the case. It should also help to remind the intended audience of the purpose of this memo). Our analysis uses Products X and Y as test cases to understand how the existing and proposed ABC systems would compute product costs. Based on our study, we have reached...
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...Business Communication Trends Roberta Willis Essentials of Management Communication Allyson Wells September 30, 2012 Business communications is very important. It’s about relying information in ways where your coworkers, business partners and clients are able to understand successfully. With good business communication you are able to build good, strong relationships which will create business enterprise. When you communicate within your workplace there are several different types of ways to relay information to your coworkers or business partners. These ways can be verbal and nonverbal. On a day to day basis business communication plays a huge role within my workplace. We not only communicate verbally face to face, we have phone conversations, emails, reports, formal meetings as well as text messages. Working in telecommunications, we make contact with a lot of customers where we use business communication in means to converse with our customers. Business communications helps me manage my day to day activities by simply allowing me to be able to keep constant communication with my coworkers as well as my customers. With the ability to use email and text messaging as means of communication within the workplace ensures instant delivery of the information you are trying to relay to your team. I honestly think if technology had never advances allowing us alternatives as far as means to communicate, then communication would not be as effective as it is now. Since...
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...In this course we have learned about different types of business communiques that are used formally with communicated with other business partners. The communiques that we learned about are email, memo, powerpoint presentation and report. First let’s talk about emails and how effective they are within the business. When it comes to how well it conveyed the message well the status of how the due diligence is was not clearly the focal point of the message and the recommendation overshadows the message that is trying to be conveyed. It was the right type communication to be used. Emails are best for when talking between peers because is not a formal message. The ethical implications are the sharing of information over an email can be seen by others if the email is hacked or if your peer decides to show someone that they shouldn’t have. The information could be that shouldn’t be seen by any other person other than your peer. Then we have a formal written memo to the Chief Executive Officer. The message was very forward about not moving on with the investment. A formal memo is the best way to talk to such a high authority within your company. It shows the professionalism within yourself to your higher making it look like you know exactly what you are talking about and believing in what you are saying to them. Next there is the powerpoint presentation. With the powerpoint presentation it is very easy to read and understand with the slides and animations. It flows very well making...
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...SAP SD IMP NOTES ENTERPRISE STRCTURE CLIENT (Company)-A client is a self-contained technical unit. A client can be considered to be a synonym for group. Company Code • • • A complete Accounting unit can be representing as the smallest organizational unit of external accounting. At Company Code level we create Balance sheet required by law Profit and Loss statement. Each company code represents an independent accounting unit. Several company codes can use the same chart of account. Assignment Company code to company Company code to Credit control area Company code to Controlling area Company code to financial management area • (An FM Area is organizational unit which Plans, Controls and Monitors funds and commitment budgets) Controlling area to financial management area Controlling area to Operating Concern. Sales Organization • The highest-level of organizational unit in SD is Sales Organization. • Responsible for Distributing goods and services, Negociation sales conditions, Product liability and other customer rights of recourse. • Sales organization is also used to take for example a regional, national or international. • A sales organization assigned to a company code. Distribution Channel • Distribution Channel represents strategies to distribute goods and services to customer. • DC is assigned to a sales organization. The assignment is not unique. • You can share Customer, Material and Condition master data by maintaining a reference/common DC. Division • A Division...
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...Transitioning Role of HRM Memo Bobbie Kay Kueneman UOPX Human Resource Information Systems HRM/319 Dr. Steadham July 09, 2012 Transitioning Role of HRM Memo Memo Format Page 1 of 1 Memo To: Class Members of HRM19360 From: Dr. Kyle S. Steadham Date: [ 7/9/2012 ] Re: Memo Template & Format Guidelines for Course Assignments References Grading Rubric HRM319 Week 1 Grading Rubric for Transitioning Role of HRM Memo (Rev. 4/4/12) | RUBRIC INSTRUCTIONS FOR STUDENT: After you complete your references section in your assignment, copy and paste this grading rubric to your Word document. That way, I can give you structured feedback in a more organized way. I can also evaluate your papers more quickly. All the grading rubrics are located in the Course Materials forum in OLS and Word format. Copy and paste from the rubric Word version to your paper. | Review the following resources before creating the memo: * Internet and University Library * Peer-reviewed references * Course texts * Week 1 Grading Rubric in Course Materials forum * Memo Template & Format Guidelines in Course Materials forum * Guide to Peer-Reviewed References & APA Formatting in Course Materials forum * Instructions on how to use WritePoint and Plagiarism Checker on Library LinkWrite at least a 700-word memo that describes how HRIS has progressed from the personnel administration field to a business-driven human capital management organizational unit. Make sure you include the...
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